District ends FY10 on high note

Friday

The Barnstable School District received some welcome news this week in the wake of the close of the FY2010 budget.

Low unemployment costs ease financial strain

The Barnstable School District received some welcome news this week in the wake of the close of the FY2010 budget.

Thanks to unexpectedly lower unemployment costs, and a drastic reduction in the number of out-of-district tuitions, the district was able to return money to its “savings account” for the first time in several years. The current estimated savings account balance is now $1.68 million.

“It is the first time in many, many years that we’ve returned money to our savings account. I thought it was exciting to actually see that money go back in,” Grenier said.

Grenier said that a contributingfactor was that the district’s unemployment costs were not as high as expected, due to former employees finding new full or part-time work.

The district was able to cover those costs through previously budgeted funds, and through savings from a reduction in out-of-district fees as students have aged out of that system.

Leftover monies that were set aside in order to cover the unemployment costs were recently returned to the savings account, resulting in the current balance.

Three years ago, the district used more than $3 million to help balance the school budget.

“When we hit the wall and had to cut our budget by $6 million, it was because of our overdependence on our savings account, and that sort of perfect storm with a lack of revenue coming in,” Grenier said.

A comparison of operating cost expenditures during the past five years shows that in FY10 the district returned almost to the operation cost levels of FY06.

In FY10 the district augmented its budget with approximately $6.2 million in grants, funds from the American Reinvestment and Recovery Act, and other enhancements.

“We ended the year well,” Grenier said. “And we helped the town and ourselves by returning some money back.”